borrowing limits under the Treasury Bills and Notes
Acts. The Central Bank intensified its open market
operations in April 2014 in an effort to contain
liquidity in the domestic economy by removing $1.2
billion from the banking system through the issue of
a $1.0 billion treasury bond in June 2013. Between
October 2013 and April 2014, the bank rolled over
three commercial banks’ fixed deposits (to the value
of $5 billion) held by the Central Bank which matured
during the period. Also, approximately $4.8 billion
was indirectly removed from the system via the sale
of US$750 million in the same seven-month period.
The weighted average buying rate of the Trinidad
and Tobago dollar appreciated slightly to TT$6.3654
per US$ at the end of June 2014 from TT$6.3878
per US$1 in the corresponding period ending June
2013. Similarly, the weighted average selling rate
appreciated to TT$6.4110 per US$1 from TT$6.4215
per US$1 over the same period.
The overall deficit on Central Government
Operations for fiscal 2014 is projected at $4,876.6
million or 2.7 percent of GDP, compared to an
overall deficit of 3.0 percent of GDP for fiscal 2013.
Total Revenue and Grants is estimated at $59,911.7
million or 33.5 percent of GDP, of which Tax
Revenue is expected to be the major component,
contributing $47,705.3 million. Capital Revenue is
estimated to more than double over the receipts
of fiscal 2013. Total Expenditure and Net Lending
is estimated at $64,788.3 million or 36.2 percent of
GDP, approximately the same proportion of GDP as
fiscal 2013.
The Overall Balance of the Rest of the Non-Financial
Public Sector recorded a deficit of $3,293.3 million for
the first half of fiscal 2014 as compared to a surplus
of $65.4 million for the same period of fiscal 2013.
The operational deficits on the State Enterprises and
Public Utilities accounts reflected the performance for
the period.
Net Public Sector Debt is projected to increase by
10.7 percent from $70,929.5 million in fiscal 2013
to $78,494.7 million by the end of the current fiscal
year. Net Public Sector Debt as a percentage of GDP
is expected to increase by 3.3 percent from 40.4
percent in fiscal 2013 to 43.4 percent in fiscal 2014.
The Net Asset Value of the Heritage and Stabilisation
Fund increased to US$ 5,563.3 million, at the end
of the third quarter in fiscal 2014. The positive
performance of the fund is due solely to gains from
the investment portfolio of the Fund as no deposits
were recorded for the period.
The Balance of Payments is projected to record
a surplus of US$786.3 million in 2013, a vast
improvement from the deficit of US$622.0 million for
2012. This surplus reflects the positive expansion in the
external current account
balance which improved
by 173.7 percent due
mainly to an improvement
in the services account.
The improvement in
the deficit on the capital
account recorded in 2012
was reversed as the deficit
expanded by 14.3 percent
to US$1,785.2 million.
The balance of visible trade
declined by 33.0 percent over
the period April 2013 to May
2014, as compared to the
previous comparative period as
exports declined and imports
marginally expanded. However,
the balance of trade excluding
mineral fuels declined by 11.2
percent to TT$3,203.4 million
for the period.
Trinidad and Tobago’s gross
official reserves expanded by
11.0 percent to US$10,219.8
million at the end of July 2014,
representing 12.0 months of
prospective imports of goods
and non-factor services.
